UK Lags Behind Competitors in Efforts to Become a Crypto Hub, Executives Claim: CNBC

The United Kingdom must intensify its efforts to establish itself as a leading hub for the cryptocurrency sector, as it risks lagging behind nations such as the United States, according to industry leaders.

Since 2022, the U.K. has expressed its ambition to be a center for cryptocurrency, yet it only recently began requesting feedback on proposed regulations for the sector.

In contrast, the European Union has already put its Markets in Crypto Assets legislation (MiCA) into effect, creating a standardized framework throughout its member states, while the current U.S. government is actively fostering the cryptocurrency sector and easing restrictions.

Jaidev Janardana, CEO of digital bank Zopa, remarked that while the U.S. is at the forefront of innovation—despite facing its own hurdles—places like Singapore and Hong Kong are also seeing quicker advancements. He added that while the U.K. outpaces the EU, complacency is not an option.

President Trump, meanwhile, has called for policies that favor cryptocurrency, with stablecoin legislation making its way through Congress. Projections from Standard Chartered suggest the stablecoin market could explode tenfold to $2 trillion within three years upon the legislation’s approval.

Cassie Craddock, managing director for the U.K. and Europe at Ripple, noted that other regions are rapidly capitalizing on the opportunity presented by the cryptocurrency market.

Mark Fairless, CEO of ClearBank, stated his company aims to create its own stablecoin but is hindered by unclear regulations. Fairless highlighted that stablecoins are integral to their medium- to long-term strategy, but clarity from regulators, including the Bank of England, is essential.

However, the U.K. still has time to catch up.

Lisa Jacobs, CEO of Funding Circle, emphasized that the U.K. remains a favorable place to establish businesses, boasting the necessary ecosystem and talent. However, she cautioned that the momentum must be sustained; resting on past achievements is not an option.

Keith Grose, head of Coinbase U.K., expressed optimism about the U.K. getting it right but warned that failing to act prudently could divert innovation to other countries.